The recent announcement by Chevron of a 2.5 GW (expandable to 5 GW) dedicated power facility in West Texas for a premier data center operator underscores a critical dynamic: as AI, cloud and hyperscale infrastructure expand in the Lone Star State, the energy mix powering them can’t afford to be one-dimensional.

• Reliability demands scale & flexibility: Data centers demand continuous, high-quality power (24/7/365). While renewables like wind and solar lead for clean energy, their intermittency means they cannot yet always operate alone without backup or dispatchable generation. The Texas grid highlights the point: natural gas has remained the majority share and is needed to fill in gaps. 

• Diversity of energy sources = resilience: Texas has grown its wind and solar capacity dramatically, but the transmission bottlenecks, permitting lag, and generation intermittency issues remain. To deploy data-centers at scale—and keep them competitive globally—developers will need a mix of renewables (for cost and sustainability) plus dispatchable sources (for reliability).

• Long-term sustainability & operational economics: The Chevron project highlights a gas-fired facility with “pathways to lower the carbon intensity over time.” Midland Reporter-Telegram In practical terms, that means that while we ramp renewables and storage, we also lean on efficient gas plants or other firm generation to bridge the gap and lock in long-term returns.

• Strategic regional advantage: Texas’ unique advantages - vast wind/solar resources, plentiful natural gas, a stand-alone grid (ERCOT) - mean that the state can deliver an “all-of-the-above” energy offering to digital infrastructure providers. A project-friendly regulatory environment, existing midstream resources and growing digital-infrastructure demand make this a national & global draw.

• Community & stakeholder alignment matters: With major infrastructure build-out comes the need for strong community engagement, transparent planning, and alignment of economic, environmental and social benefits. Highlighting how the energy transition is progressive, how infrastructure is being upgraded, and how communities benefit (jobs, tax base, technology spill-over) helps build social license.

Texas is positioned not just to host the next wave of digital infrastructure - but to power it with a balanced energy portfolio that meets performance, sustainability and stakeholder-expectation needs simultaneously. Learn more about how we are helping clients power the digital grid with grounded strategy and authentic community engagement, and guiding projects through Texas’ shifting social license – one community at a time.